RECORD OF PROCEEDINGS
AIR FORCE BOARD FOR CORRECTION OF MILITARY RECORDS

IN THE MATTER OF:	DOCKET NUMBER:  01-01323
				INDEX CODE:  137.00

	APPLICANT	COUNSEL:  None

	SSN		HEARING DESIRED:  NO

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APPLICANT REQUESTS THAT:

He be allowed to terminate his spouse coverage under the Survivor Benefit Plan (SBP).

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APPLICANT CONTENDS THAT:

He was not counseled "at all" about the ramifications and the financial hardship he would incur since the SBP premiums would be retroactive from the date of his marriage.

Applicant's complete submission is attached at Exhibit A.

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STATEMENT OF FACTS:

The member was married and elected spouse only coverage under the SBP prior to his 1 Nov 74 retirement.  The applicant and his wife were divorced on 18 Sep 92.  The finance center was notified of his change in marital status and the SBP premiums were suspended effective 1 Oct 92.  The applicant remarried on 10 Jun 93.  He failed to notify the finance center before the first anniversary of his marriage that he did not want to extend SBP coverage to his current wife.  In Dec 00, the applicant submitted a request to the Defense and Finance Accounting Service (DFAS) to resume his existing spouse coverage under the SBP.  DFAS reinstated the spouse premiums  and initiated recovery  of cost retroactive to 10 Jun 94.

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AIR FORCE EVALUATION:

The Chief, Retiree Services Branch, AFPC/DPPTR, reviewed this application  and states that  Public Law (PL) 99-145, effective 18 Sep 92, allows a retiree to elect not to resume coverage for a subsequently acquired spouse.  The new spouse will be automatically covered at the previous level on the first anniversary of the marriage if the member has not taken action before the anniversary date to prevent reinstatement.  The premiums for the coverage will become effective the first day of the thirteenth month.

The applicant's current spouse became automatically eligible as a beneficiary under the SBP program because a valid election was not made to suspend the coverage for her before the first anniversary of their marriage.  The applicant incurred a premium debt because he failed to notify the finance center in a timely manner to not resume the SBP premiums.

Information is regularly published in the Afterburner, News for USAF Retired Personnel, to remind them that it is their responsibility to keep their beneficiary information current.  To provide the applicant additional time to terminate his SBP coverage would be unfair to other members in similar situations, therefore they recommend denying the applicant’s request.

A complete copy of the evaluation is attached at Exhibit B.

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APPLICANT'S REVIEW OF AIR FORCE EVALUATION:

The applicant's wife submitted a letter stating if they had been counseled adequately they would have not chosen to resume SBP coverage.  They were just trying to insure everything was in order for them to receive health care benefits.  If they had known that the cost would be retroactive, thus causing monies to be deducted from her husband's check, creating a financial hardship, they would not have chosen to participate in SBP.  She concurs with her husband and does not want SBP coverage (Exhibit D).

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THE BOARD CONCLUDES THAT:

1.	The applicant has exhausted all remedies provided by existing law or regulations.

2.	The application was not timely filed; however, it is in the interest of justice to excuse the failure to timely file.

3.	Insufficient relevant evidence has been presented to demonstrate the existence of probable error or injustice.  We took notice of the applicant’s complete submission in judging the merits of the case; however, we agree with the opinion and the recommendation of the Air Force and adopt their rationale as the basis for our conclusion that the applicant has not been the victim of an error or injustice.  The applicant's contention that he was not properly counseled regarding the ramifications of resuming coverage is duly noted; however, he presents no documentation to support this contention.  In fact, the Board notes that AF Form 2035, SBP Election for Participants who Remarry, which the applicant signed on 29 Dec 00, clearly states that existing spouse coverage and cost automatically become effective on the first anniversary of the remarriage unless coverage is terminated.  It was the responsibility of the applicant to ask questions if he did not understand the terms of his resuming coverage.  Had the applicant died, his widow would have been entitled to an SBP annuity based on his original SBP election prior to his retirement.  Therefore, in the absence of evidence to the contrary, we find no compelling basis to recommend granting the relief sought in this application.

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THE BOARD DETERMINES THAT:

The applicant be notified that the evidence presented did not demonstrate the existence of probable material error or injustice; that the application was denied without a personal appearance; and that the application will only be reconsidered upon the submission of newly discovered relevant evidence not considered with this application.

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The following members of the Board considered this application in Executive Session on 25 September 2001 under the provisions of AFI 36-2603:

The following documentary evidence was considered:

	Exhibit A.	DD Form 149, dated 7 May 01, w/atchs.
	Exhibit B.	Letter, HQ AFPC/DPPTR, dated 13 Jun 01.
	Exhibit C.	Letter, SAF/MIBR, dated 15 Jun 01.
	Exhibit D.	Applicant’s Response, dated 27 Jun 01.

					
					Panel Chair